Security Experts:

Connect with us

Hi, what are you looking for?

SecurityWeekSecurityWeek

Mobile & Wireless

U.S. in Deal to Ease Sanctions on China’s ZTE: Top Official

US officials reached a deal Thursday to ease sanctions which threatened to cripple Chinese smartphone maker ZTE, Commerce Secretary Wilbur Ross said.

Ross told CNBC television the deal includes a $1 billion fine levied on the Chinese firm and a requirement that it change its board of directors.

US officials reached a deal Thursday to ease sanctions which threatened to cripple Chinese smartphone maker ZTE, Commerce Secretary Wilbur Ross said.

Ross told CNBC television the deal includes a $1 billion fine levied on the Chinese firm and a requirement that it change its board of directors.

In April, the Chinese group was cut off from US technology products for violating US sanctions against North Korea and Iran — measures which threatened to put ZTE out of business.

Ross said the agreement calls for “embedding a compliance department” chosen by Washington to monitor company conduct.

“They will pay for those people but the people will report to the new chairman,” Ross said.

“This is a pretty strict settlement. The strictest and largest settlement fine that has ever been brought by the Commerce Department against any violator of export controls.”

Ross said the plan calls for ZTE to create a $400 million escrow account in case of future violations, and a requirement to overhaul the board of directors and executive team within 30 days.

Several US lawmakers have warned against easing sanctions on ZTE, citing national security concerns.

But President Donald Trump last month said he was looking at options to prevent a shutdown of ZTE.

The news comes amid increasing trade tensions between Washington and Beijing, with Trump threatening to impose tariffs of Chinese technology products to reduce a large trade deficit.

Written By

AFP 2023

Click to comment

Daily Briefing Newsletter

Subscribe to the SecurityWeek Email Briefing to stay informed on the latest threats, trends, and technology, along with insightful columns from industry experts.

Expert Insights

Related Content

Mobile & Wireless

Apple rolled out iOS 16.3 and macOS Ventura 13.2 to cover serious security vulnerabilities.

Mobile & Wireless

Technical details published for an Arm Mali GPU flaw leading to arbitrary kernel code execution and root on Pixel 6.

Mobile & Wireless

Apple’s iOS 12.5.7 update patches CVE-2022-42856, an actively exploited vulnerability, in old iPhones and iPads.

Mobile & Wireless

Two vulnerabilities in Samsung’s Galaxy Store that could be exploited to install applications or execute JavaScript code by launching a web page.

Mobile & Wireless

South Dakota Gov. Kristi Noem says her personal cell phone was hacked and linked it to the release of documents by the January 6...

Mobile & Wireless

Infonetics Research has shared excerpts from its Mobile Device Security Client Software market size and forecasts report, which tracks enterprise and consumer security client...

Cybercrime

A digital ad fraud scheme dubbed "VastFlux" spoofed over 1,700 apps and peaked at 12 billion ad requests per day before being shut down.

Mobile & Wireless

Chinese tech giant Huawei patched nearly 300 vulnerabilities in its HarmonyOS operating system in 2022.